Search results for "Informal sector"
showing 10 items of 14 documents
The integration of informal business law in the OHADA framework. Methodological reflections
2021
OHADA represents today a successful example of legal integration that offers a modern and reliable legal environment regarding business law in those countries that have joined it. However, such a modern integrated system of business law appears to be unsuited to the informal business sector that still represents a vital segment of the economy in most of the African countries. The paper discusses the attempts that have been made to integrate the informal business sector in the OHADA framework, trying to understand the reasons why they have been substantially unsuccessful and suggests a possible way forward to make such integration possible.
Megacities without Global Functions.
2007
Present urban evolution is characterized by two major phenomena. On the one hand, the number of very large cities, the megacities, increases dramatically, especially in the less developed countries (LDCs). On the other hand, globalization leads to the emergence of cities coordinating complex and global economic activities, the global cities, especially in the more developed countries (MDCs). So, the two phenomena are diverging. A number of megacities do not exhibit any global function.The global performances of megacities are well correlated with their degree of economic development. But it is worth wondering why economic underdevelopment is consistent with urban growth but not with city gl…
Introduction of the circular economy within developing regions: A comparative analysis of advantages and opportunities for waste valorization
2018
The introduction of effective solid waste management strategies in developing countries should be considered for improving sustainability at global level. Many barriers should be overcome, concerning the introduction of environmental policies, effective investments, social inclusion and public awareness, which are significant issues in low-middle income countries. The Circular Economy could represent the answer for improving current solid waste management activities worldwide, since denote the principle of waste valorization and recycling for boosting developing economies. This paper is focused on this theme, analyzing main opportunities for improving the current state of solid waste manage…
Global Food Prices and Domestic Inflation: Some Cross-Country Evidence
2015
We study the impact of global food price shocks on domestic inflation in a large group of countries. For advanced economies, a 10% increase in global food inflation raises domestic inflation by about 0.5 percentage point after a year; however, the impact has declined over time and become less persistent. The global food price shocks of the 2000s had a much bigger impact on domestic inflation in emerging and developing economies than in advanced economies. This could reflect the smaller share of food in the consumption baskets in advanced economies. We also provide evidence that inflation expectations are more anchored in advanced than in emerging economies, which could also explain the smal…
How Parallel Markets Fueled Chronic Shortage in the Soviet Official Sector
1999
The paper presents a disequilibrium model of a pre-transition centrally planned economy, with explicit description of labour supply to the official sector, as well as illegal economic activities. Under weak assumptions, raising official prices for deficit goods leads to even higher inflation in the shadow sector and increases the labour supply to the official sector. However, aggregate supply does not grow as much as income, and (flow) excess demand in the official sector goes up, while excess demand in the aggregate market remains positive. Simulation results suggest that our assumptions and conclusions are consistent with estimates of monetary overhang obtained (in a different way) by oth…
What Explains Prevalence of Informal Employment in European Countries: The Role of Labor Institutions, Governance, Immigrants, and Growth
2011
This paper looks into institutional and other macro determinants of prevalence of informal dependent employment, as well as informal self-employment, in European countries, using European Social Survey data on work without legal contract in on 30 countries, covering years 2004-2009. Consistently with theoretical predictions, quality of business environment has a significant negative impact on prevalence of both types of informal employment. The share of non-contracted employees is negatively affected by perceived quality of public services and positively related to economic growth. Informal self-employment is positively related to growth in Europe at large, as well as in Eastern and Souther…
Poverty, taxation and governance
2006
In a simple model based on political support approach, we show that poor and less egalitarian societies may impose a lower tax rate contrary to the prediction of the median voter approach. This is consistent with the available empirical findings. In the framework developed in this paper, the government can strategically design a weak governance system to promote informal activities for the poor. This constitutes an alternative redistributive strategy other than the standard tax-transfer policy. The government chooses the tax rate and the degree of governance simultaneously to maximize the average income of the poor in the informal sector of the economy, i.e. those who constitute the majorit…
Obstacles Facing Smaller Business in Developing Countries
2003
Small and medium enterprises (SMEs) play a central role in economic growth and poverty alleviation in developing countries and transition economies. Yet small and medium-scale enterprise may suffer from a number of disadvantages compared with larger firms. Market imperfections, notably those caused by underdeveloped financial and legal systems, typically constrain small firms and severely limit their ability to grow. Economies of scale and entry cost favor large firms, and large entrepreneurs usually wield more political influence. Thus government rules and regulations may also be biased in favor of large firms. To the extent that market and government failures are more prevalent in develop…
Emerging Tiger? The Paradoxes of the Philippine Economy
2017
The Republic of the Philippines is an exception in the East and Southeast Asia realm. One of the richest countries of the region at the end of World War II, its rankings have slipped, and its growth rates have been weak for several decades. We examine the main causes of the mediocre economic performance of the country since the 1950s. Many analysts have pointed out an excessive bureaucracy, high levels of corruption and the lack of industrial investment in a country dominated by landed interests. After the high debt incurred during the Marcos administration, Philippine leaders have made every effort to improve the debt situation, choosing to pay back loans, but under investing in infrastruc…
Technical secondary education in Togo and Cameroon : Research Note
1990
International audience; This paper presents an evaluation of technical secondary education in Togo and Cameroon from the labor market perspective using tracer study data. Individuals face great difficulties in finding a job following training and the most common strategy used to avoid unemployment is to secure work in the informal sector. However, informal sector jobs provide low earnings and there appears to be a large discrepancy between an individual's expected earnings and actual earnings. One solution is to stimulate, and to enhance the role of, informal training through apprentice training centers.